The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) has added 26 entities and three Hong Kong addresses to its Entity List, including 16 firms from mainland China, as part of its latest export control action targeting companies accused of supporting Iran’s military drone networks.

According to BIS, the sanctioned companies were involved in procuring or diverting U.S.-origin electronic components used in Iranian and proxy-operated weaponized drones, including those recovered by the Israeli Defense Forces after the October 7, 2023, Hamas attacks. The list also includes Turkish and UAE firms allegedly engaged in similar diversion activities.

Among the newly listed entities are major electronic component distributors such as Arrow Electronics’ China and Hong Kong subsidiaries, along with several smaller Chinese technology and trading firms, including Beijing Rageflight Technology, Shanghai Bitconn Electronics, Easy Fly Intelligent Technology, and Goodview Global. BIS said Goodview was part of an “illicit procurement network” linked to Iran’s Islamic Revolutionary Guard Corps Qods Force.

The action marks the first round of additions under BIS’s new “50% Affiliates Rule,” which extends Entity List restrictions to any foreign entity 50% or more owned—directly or indirectly—by listed parties. Exporters are now required to verify ownership structures or obtain BIS licenses before shipping to potentially affiliated entities.

The rule took effect immediately on October 8, 2025, though goods already in transit that meet prior licensing conditions may continue to ship until November 7, 2025.

Full List of Newly Added Entities

China

Address 16

Address 17

Address 18

Arrow China Electronics Trading Co., Ltd.

Arrow Electronics (Hong Kong) Co., Ltd.

Beijing Kevins Technology Development Co., Ltd.

Beijing Plenary Technology Co., Ltd.

Beijing Rageflight Technology Co., Ltd.

Easy Fly Intelligent Technology Co., Ltd.

Feng Bao Electronic Information Technology (Shanghai) Co., Ltd.

Feng Bao Trading Hong Kong Ltd.

Gansu Shuili Hoisting Equipment Co., Ltd.

Goodview Global

Jinan Xin Yin Bo Electronic Equipment Co., Ltd.

Schmidt & Co. (HK) Ltd.

Shandong Xin Yin Bo IOT Technology Co., Ltd.

Shanghai Bitconn Electronics Co., Ltd.

Shanghai Langqing Electronic Technology Co.

Shanghai Sisheng Power Control Technology Co., Ltd.

Turkey

Atadoruk Havacilik Savunma Sanayi Ticaret Limited Sirketi

Business Metal Sanayi Ve Dis Ticaret Limited Sirketi

DBC Makina Sanayi ve Ticaret A.S.

Ercetin Is Makinalari Yedek Parcalari Insaat Ve Dis Ticaret Limited Sirketi

PMR Teknik Makine Ticaret Limited Sirketi

Sisdoz Aritma Ve Pompa Teknolojileri Sanayi Ticaret Anonim Sirketi

TGB Aviation

UMS Ankara Kalibrasyon Mühendislik Müşavirlik Mümessillik Sanayi Ve Ticaret Limited Sirketi

Yant Insaat Gida Turizm Sanayi Dis Ticaret Limited Sirketi

United Arab Emirates

Royal Impact Trading L.L.C.

China’s Response

Beijing condemned the move, calling it an abuse of export controls and a politically motivated attempt to suppress Chinese companies.

A spokesperson for China’s Ministry of Commerce said the U.S. is “overstretching the concept of national security and abusing export control measures,” warning that such actions “undermine the stability of global industrial and supply chains.”

The Chinese Foreign Ministry also criticized the move as “hegemonic behavior” that violates international norms, urging Washington to “stop weaponizing economic and technological issues” and vowing to take necessary steps to defend the legitimate rights of Chinese enterprises.

Broader Context

This is BIS’s second major Entity List expansion in less than a month, reflecting intensifying Western scrutiny of Iran-related trade following renewed U.N. and allied sanctions. It also signals Washington’s growing willingness to apply advanced export control frameworks—such as the new affiliates rule—to counter complex transnational procurement networks.